At this week’s First Minister’s Questions (FMQs), Scotland’s political leaders engaged in a debate over the nation’s economic strategy and climate commitments, the former prompted by entrepreneur Sir Tom Hunter’s recent report advocating for reforms inspired by Singapore’s model.

The Sir Tom Hunter Foundation report, Lessons From Singapore for Scotland’s Economy, critiques Scotland’s current economic trajectory, describing it as “managed decline” and urging radical reforms. He emphasises the importance of leadership, noting the disparity in compensation: “Leadership is key and perhaps we need to rethink how we reward our leaders – the Prime Minister of Singapore is paid $2.2m and our First Minister £165K. Why?”

MSP Graham Simpson commented, saying: joked (wasn’t sure which one you wanted to keep): “He will no doubt be delighted that Sir Tom Hunter has hinted that he, the First Minister, is paid too little.”

Simpson highlighted key concerns from the report, including “falling standards in education,” “some of the worst health outcomes in Europe,” and a “demographic ticking timebomb.” He also pointed out the tax disparity, noting that “taxes sought to ‘punish’ entrepreneurs – with Scotland’s top tax rate being 48% compared to 24% in Singapore.”

Simpson also picked up on the “demographic ticking time bomb” with the report portending that the number of over-85s is set to double in the next two decades while the working-age population shrinks.

First Minister John Swinney responded, stating that “by anyone’s estimation, Scotland now has a very supportive, innovation and entrepreneurship system that is available.”

He lighted the success of the Techscaler programme, claiming that it was generating “significant economic benefits and generating significant wealth in Scotland.”

SNP MSP Willie Coffey shifted the focus to the economic relationship with Westminster, citing a report claiming: “The union and Westminster are not working for Scotland” and that “average earnings in Scotland are £15,000 less per year than they would have been if wages had not flatlined since the financial crisis.”

Swinney countered by stating that Scotland’s economy has been “robust” despite financial challenges, adding that average GDP here is the highest in the UK. He insists independence would give the government more control over finances.

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Scottish Greens co-leader Lorna Slater challenged Swinney on climate policy, citing a report that Scotland is on a “disastrous trajectory” toward net zero. She demanded a “proper plan” for warmer homes and affordable public transport.

Swinney defended his government’s commitment: “The government is ‘absolutely committed’ to reducing net zero emissions… supporting electric vehicles [and] investment in new technology will help create new ‘green’ jobs.”